XRP Price Recovery Dependent on Bitcoin’s Performance
XRP’s recent price attempts to achieve new highs were halted by selling pressure, leading to significant investor losses. The cryptocurrency’s recovery now relies heavily on Bitcoin’s performance. Currently trading at $2.46, XRP must overcome key resistance levels to regain lost ground and potentially recover alongside Bitcoin’s anticipated increase.
XRP has recently made an attempt to reach a new all-time high but encountered resistance due to market selling pressure. This setback has resulted in substantial financial losses for investors as selling tendencies escalated. The potential for recovery of XRP is now significantly dependent on the forthcoming movements of Bitcoin, as Bitcoin’s price trajectory is likely to affect XRP’s performance moving forward.
Earlier this week, over 95% of XRP’s supply was reported to be in profit, indicating a market peak. This situation led to heightened selling pressure and a marked decline in XRP’s value, erasing approximately 3% of profit supply, raising concerns among holders. As profits decrease, the risk of additional selling increases, which, if continued, could further diminish XRP prices and threaten investor confidence.
XRP’s performance is substantially correlated with Bitcoin, with a coefficient of 0.92 indicating a strong connection. This suggests XRP is expected to follow Bitcoin’s market trends closely, which may work to its advantage, especially with Bitcoin anticipated to regain support around the $100,000 mark. If Bitcoin stabilizes and rises, it is likely to provide the necessary support for XRP’s recovery efforts.
Currently, XRP trades at $2.46, having fallen beneath essential support levels of $2.95 and $2.70. A halt in price decline occurred when XRP tested the $2.33 support level, averting immediate further losses. The next objective for XRP involves reclaiming its prior price levels, yet overcoming resistance at the $2.70 marker remains challenging, as it is robust and may require increased bullish momentum for a breakthrough.
Should XRP align with Bitcoin’s upward trajectory, a notable recovery could be on the horizon. Regaining the $2.70 price point will serve as a pivotal moment, potentially facilitating further price appreciation. Surpassing the $2.95 threshold could negate the current bearish sentiment, setting the stage for a comprehensive recovery and future growth.
In the cryptocurrency market, XRP’s recent attempt to reach new highs was thwarted by significant selling pressure, leading to losses for investors. With more than 95% of its supply in profit, the market exhibited signs of a peak, prompting an increased selling spree. The correlation between XRP and Bitcoin has reached an impressive high, indicating that XRP’s future performance is inextricably linked to Bitcoin’s price movements, which influences investor expectations and market dynamics.
In summary, XRP’s recovery appears closely tied to Bitcoin’s price fluctuations, particularly as both assets face market pressures. While XRP has shown resilience by testing support levels, overcoming resistance will be critical for future gains. The overall outlook for XRP hinges on Bitcoin’s trajectory; a bullish turn for Bitcoin could catalyze XRP’s upward movement and restore investor confidence in the asset.
Original Source: beincrypto.com
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